When it comes to creating a budget for your business, there’s a lot to consider. There are operational costs and money to pay employees, of course. You’ll also need to include your IT in your budget. This can consist of purchasing new hardware or software, hiring a managed IT services provider, or training current tech professionals. Whatever your line items are, keep these considerations in mind when budgeting for IT.

1. Understand Technology Obligations

You need a baseline understanding of where you are on your current IT-cost commitments. Once you know exactly how much is being spent on this aspect of your business, you can start to research cost-saving solutions with your in-house or outsourced IT professionals and your finance team. This ensures that nothing is being cut from the budget that’s necessary. Your IT staff can also provide suggestions on where to streamline things or where money can be saved.

2. Consider Automation as an Option

While it might cost more upfront to get automation technology, you’ll save in the long run, and these can be substantial savings. If you’re paying someone to do a task that can be automated, you have to pay for that labor and that person’s benefits. If you use more efficient automation software, you recoup that money.

One white woman and one black woman going over a budget plan

3. Know There are No Quick Fixes

It’s important to accept that there are no magic solutions and no quick fixes in business. Investing up front in brand-new technology doesn’t mean you’ll automatically save money down the road. The same goes for shady software. If something promises instant savings or immediate solutions, be wary. Ultimately, you want to be realistic with your IT spending and know when it’s a good time to invest.

4. Take Security Seriously

Cyber security is one of the most important investments you can make for IT. Since so much of business takes place online and on computers these days, ensuring that your sensitive information and company documents are protected is imperative. This is one spot you won’t want to skimp on.

5. Consider Outsourcing

If you currently work with an in-house IT professional or staff, you have to pay all of their salaries and benefits. If this is costing you too much and you need to trim the budget, it’s time to consider outsourcing to a managed IT provider. This third-party company provides all of the same services as your in-house staff, but for a more affordable cost.


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